I'd say the XL is worth it as long as you don't mind that some of the jagged edges in 3DS games will become slightly more pronounced. It's not ugly and stretched, but the fact that its the same 400x240 resolution on a bigger screen just makes some imperfections more noticeable. I still love my XL to death though, and I'm glad I bought it, I feel the 3D effect just pops more on a bigger screen.
As for games.. I've owned a lot, but here are the ones that I've found most enjoyable:
-Mario Kart 7
-Fire Emblem: Awakening
-Super Mario 3D Land
-Theatrhythm: Final Fantasy
-Resident Evil: Revelations (Story is cheesy, but most RE stories are. Coming to other consoles soon, though)
-New Super Mario Bros. 2 (A bit stale compared to the previous 2, but still a solid platformer)
-The Legend of Zelda: Ocarina of Time 3D
-Star Fox 64 3D
-Ghost Recon: Shadow Wars
Then of course you have stuff like Pokemon X & Y coming later this year, as well as Animal Crossing & Luigi's Mansion.
